Major boost for green energy support scheme

The Queensland Government has welcomed news of a supercharged Capacity Investment Scheme to drive new clean energy generation and storage. Energy and Public Works Minister Mick de Brenni said Queensland’s publicly owned energy companies indicated that the expanded federal scheme could enable the state to swiftly bring on additional projects, including an estimated 1.5GW of extra battery storage, on top of the existing pipeline. "Today, the world’s most respected renewable energy investors are knocking on our door to work with us and partner with us on a 22GW generation and 13GW storage and firming pipeline for system transition, and that’s because we have the policies and institutions right," he said. “We believe that working alongside and with the support of the Federal Government, Queensland can do even more to help the nation achieve its decarbonisation ambitions." The expansion announced by Federal Energy Minister Chris Bowen will take the CIS from the current pilot stage to 9 GW of dispatchable capacity and 23 GW of variable capacity, for a total of 32 GW nationally. Mr Bowen said the expected costs of CIS contracts were not-for-publication to ensure that reverse auctions achieved the best bang for buck for taxpayers. "To ensure the rollout is orderly and coordinated, the Commonwealth will also negotiate bilateral agreements with states and territories under the existing NETP," he said. "States will be asked to work with the Commonwealth to ensure renewables are rolled out and reliability is enhanced through objective benchmarks, an orderly transition, and potential strategic reserves. "Around half of the capacity offered under the expanded CIS (18 of 32 GW) will be subject to these agreements. Capacity may be re-allocated from any jurisdictions that don't make agreements to those that do." Federal Member for Flynn Colin Boyce said Labor’s plan to underwrite a five-fold increase in new government-backed renewables across Australia would drive up the cost of everyone’s living. Federal Member for Flynn Colin Boyce. He warned that the 'panicked market intervention' to achieve Labor’s 82 per cent renewables by 2030 target would destroy agricultural land, driving up food prices and tearing down food security. “I fear federal Labor and the now all Labor states will abandon proper environmental approvals because Chris Bowen doesn’t want to miss their target," he said. “Labor must guarantee tough approvals processes and that there won’t be shortcuts for these projects. “On top of wind turbines and solar panels, 28,000km of transmission lines at a minimum cost of $80 billion will also tear through regional communities. “The Nationals believe this demonstrates why we should also have the conversation about nuclear and let the market decide about energy options, rather than taxpayers having to do all the heavy lifting." Clarke Creek wind farm developer Squadron Energy was among those to back the planned expansion of the Capacity Investment Scheme to include variable renewable projects. “Providing certainty is key to boosting investor confidence in Australia’s renewable energy rollout,” Squadron Energy chief executive officer Jason Willoughby said. “Today’s announcement that the Capacity Investment Scheme will expand to include 23GW of new renewable capacity is a welcome move to ensure the industry moves at pace to deliver much-needed renewable energy generation. “Replacing ageing and unreliable coal-fired generation with firmed renewable energy is key to bringing affordable, reliable and clean electricity to Australian households and businesses. “Squadron Energy is committed to delivering one-third of the Federal Government’s target of 82 per cent renewable energy by 2030. “Importantly we believe gas will still play a small but important role in the clean energy transition and remain committed to delivering a major pipeline of renewable energy projects backed up by a combination of battery energy storage systems and gas firming projects designed with a hydrogen future in mind.”

Major boost for green energy support scheme

Industry Queensland

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